OzAurum Unveils New Gold Targets and Niobium Potential Amid $1M Capital Boost
OzAurum Resources reports a dynamic quarter with fresh drilling targets at Mulgabbie, high-grade gold at Patricia, and promising niobium anomalies in Brazil, supported by a $1 million capital raise.
- New cross fault drilling target identified at Mulgabbie North Gold Project
- High-grade gold assays up to 16.23 g/t at Patricia’s Heysen’s Find prospect
- Widespread niobium soil anomaly discovered at Salitre Project in Brazil
- Trial open pit and heap leach feasibility study progressing at Mulgabbie
- Successful $1 million capital raise to fund ongoing exploration
Exploration Momentum Builds at Mulgabbie North
OzAurum Resources Ltd (ASX: OZM) has kicked off 2025 with a robust exploration agenda, highlighted by the identification of a new cross fault target within its 260,000-ounce Mulgabbie North Gold Project in Western Australia. Drilling commenced in January 2025 on this strategically located target, situated just 1.3 kilometres south of previous aircore drilling along the highly prospective Relief Shear corridor.
This target area is notable for its historical significance, having seen limited reverse circulation drilling over 38 years ago and a vertical RAB hole in 1998 that intercepted significant mineralisation but was never followed up. The recent 51-hole aircore program, completed to fresh rock, aims to unlock this untapped potential. Assay results are pending, but the geological setting mirrors that of the existing Mulgabbie North Mineral Resource, which stands at 11.6 million tonnes at 0.70 g/t Au for 260,000 ounces.
High-Grade Gold Discovery at Patricia’s Heysen’s Find
Meanwhile, at the Patricia Gold Project, rock chip sampling at the newly discovered Heysen’s Find prospect returned impressive gold grades, peaking at 16.23 g/t Au. Located 7.5 kilometres south of the Patricia Open Pit Gold Mine, these samples exhibit gossan boxwork textures indicative of pyrite mineralisation at depth, suggesting promising exploration upside.
The structural setting is favourable, with outcropping dolerite on both sides of the shear zone, extending over a strike length of approximately 1 kilometre. Heritage surveys and regulatory approvals are in place, paving the way for planned reverse circulation drilling to further delineate the prospect.
Niobium Anomaly Spurs Excitement in Brazil
OzAurum’s exploration footprint extends beyond Australia, with encouraging results from its 100%-owned Salitre Niobium Project in Minas Gerais, Brazil. Soil sampling programs have identified a widespread niobium anomaly covering a 1 square kilometre area, with peak niobium values reaching 271 ppm, significantly above the regional background.
These anomalies coincide with clusters of ultraviolet anomalies and elevated gamma radiation readings, supporting a niobium carbonatite intrusion model. The company plans to drill two diamond holes to a depth of 200 metres in 2025, leveraging its own drilling rig and crew to advance this promising rare earth element project.
Advancing Feasibility and Operational Readiness
In parallel with exploration, OzAurum is progressing a heap leach feasibility study at Mulgabbie in partnership with Line Hydrogen Pty Ltd. Designs for a trial open pit and heap leach operation have been developed, with the potential for a simplified permitting process aimed at achieving near-term cash flow. Supporting studies including geotechnical diamond drilling, heritage surveys, and flora and fauna assessments are underway or completed.
The company has also lodged a water abstraction licence application to support the trial heap leach operation, signaling a methodical approach to advancing from exploration to potential production.
Financial Position and Corporate Developments
OzAurum strengthened its financial position with a $1 million capital raise in December 2024, issuing shares at $0.026 each. This funding underpins ongoing exploration activities across its Australian and Brazilian projects. As of 31 December 2024, the company held $1.2 million in cash reserves, providing a runway of approximately 3.6 quarters at current expenditure levels.
Corporate governance was also bolstered with the appointment of Jessica Fertig as an independent non-executive director in January 2025, following the resignation of Andy Tudor. This board refreshment aligns with the company’s growth ambitions and operational expansion.
CEO Andrew Pumphrey expressed optimism about the quarter’s progress, highlighting the strategic significance of the new Mulgabbie target, the high-grade gold potential at Patricia, and the promising niobium anomalies in Brazil. He emphasized the company’s focus on delivering value through disciplined exploration and advancing feasibility studies toward production readiness.
Bottom Line?
OzAurum’s multi-pronged exploration and development strategy positions it well for potential resource growth and near-term operational milestones.
Questions in the middle?
- When will assay results from the Mulgabbie North cross fault drilling be released, and what might they reveal about resource expansion?
- How will the planned RC drilling at Patricia’s Heysen’s Find impact the project’s resource definition and development timeline?
- What are the next steps and timelines for permitting and potential production from the Mulgabbie heap leach trial?
